Alistair Berg Investment summary My previous investment thought for Dynatrace (NYSE:DT) (published on 24th May) was a buy rating because I believe the business will see growth acceleration in FY26, supported by a revamped go-to-market strategy. I give DT a buy rating as recent performance was impressive, and there are more reasons to believe that growth will accelerate over the foreseeable future. 1Q25 results update Total revenue grew ~20% from $332.9 million in 1Q24 to ~$400 million in 1Q25, driven primar ...

Core Viewpoint - The global industrial automation market is expected to grow at a CAGR of 8.3% from 2024 to 2031, but the robotics sector may face challenges due to economic slowdown and reduced capital expenditures, leading to potential vulnerabilities in certain robotics stocks [1]. Group 1: Dynatrace (DT) - Dynatrace operates in the software performance niche, focusing on application performance management (APM) and cloud-native monitoring, which are critical for automation processes [3][4]. - The company holds a 3% market share in the APM market and faces stiff competition from major players like Microsoft, Amazon, Google, IBM, and Cisco, making it a candidate for selling [5]. - Despite a 19% year-over-year revenue increase in Q2 2024, net income showed minimal growth at 1.1%, indicating potential stagnation [6]. Group 2: PROCEPT Biorobotics (PRCT) - PROCEPT Biorobotics is known for its AquaBeam Robotic System, which uses waterjet technology for treating benign prostate enlargement (BPH), a condition affecting up to 90% of men over 80 [7][8]. - In Q2 2024, the company reported 47 sales of the AquaBeam system, generating $53.4 million in revenue, reflecting a 61% annual growth, but it has not yet achieved profitability [9]. - The company reported a net loss of $25.6 million, slightly higher than the previous year's loss, indicating ongoing financial challenges [10]. Group 3: Zebra Technologies (ZBRA) - Zebra Technologies connects employees with assets across various sectors, including logistics and healthcare, and made a significant acquisition of Fetch Robotics for $290 million to enhance its warehouse automation capabilities [11][12]. - Competitor Symbotic may offer better exposure in the market, as it utilizes AI-powered software for optimizing robotic operations and has established partnerships with major retail chains [13][14]. - ZBRA stock has increased nearly 20% year-to-date, priced at $320, while Symbotic's stock has decreased significantly, presenting a potential high-growth opportunity [15].

The company notched a double beat with its latest earnings report. Data analytics company Dynatrace (DT 15.71%) was having a Wednesday to remember on the stock exchange. After the company published its latest set of quarterly results, investors piled into the shares, sending their price up by 16% in late afternoon trading. That performance was particularly impressive when matched against the slumping S&P 500 index, which, at the time, was down by more than 0.5%. A solid double beat Well before market open t ...

Dynatrace, Inc. (NYSE:DT) Q1 2025 Earnings Conference Call August 7, 0202 8:00 AM ET Company Participants Rick McConnell - CEO Jim Benson - CFO Noelle Faris - VP, IR Conference Call Participants Patrick Colville - Scotiabank Pinjalim Bora - J.P. Morgan Will Power - Robert W. Baird Matt Hedberg - RBC Capital Markets Sanjit Singh - Morgan Stanley Raimo Lenschow - Barclays Mike Cikos - Needham & Company Jake Roberge - William Blair Fatima Boolani - Citigroup Adam Tindle - Raymond James Kash Rangan - Goldman Sa ...

Core Insights - Dynatrace reported revenue of $399.22 million for the quarter ended June 2024, reflecting a year-over-year increase of 19.9% and surpassing the Zacks Consensus Estimate of $392.63 million by 1.68% [1] - The company's EPS for the quarter was $0.33, up from $0.27 in the same quarter last year, exceeding the consensus EPS estimate of $0.29 by 13.79% [1] Revenue Performance - Total Annual Recurring Revenue (ARR) reached $1.54 billion, slightly above the average estimate of $1.53 billion from eight analysts [3] - Subscription revenues amounted to $381.58 million, exceeding the nine-analyst average estimate of $375.13 million, with a year-over-year growth of 20.6% [5] - Service revenues were reported at $17.64 million, surpassing the average estimate of $17.11 million from nine analysts, representing a year-over-year increase of 7.4% [4] Profitability Metrics - Gross profit from services was $0.84 million, compared to the average estimate of $0.65 million from five analysts [6] - Gross profit from subscriptions was reported at $328 million, slightly below the average estimate of $328.90 million from five analysts [7] Stock Performance - Over the past month, Dynatrace shares have returned -6.2%, compared to a -5.9% change in the Zacks S&P 500 composite [7] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [7]

| --- | --- | --- | |-------|-------------------------------|-------------| | | | | | | | g dynatrace | | | | | | | | | | | | | | | Q1 2025 Investor Presentation | | | | August 7, 2024 | | Legal Disclaimer This presentation consists of these slides and the associated remarks and comments, which are related and intended to be presented and understood together. Please refer o these slides for definitions of certain terms. Cautionary Language Concerning Forward-Looking Statements This presentation includes cer ...

Dynatrace (DT) came out with quarterly earnings of $0.33 per share, beating the Zacks Consensus Estimate of $0.29 per share. This compares to earnings of $0.27 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of 13.79%. A quarter ago, it was expected that this software intellegence company would post earnings of $0.27 per share when it actually produced earnings of $0.30, delivering a surprise of 11.11%. Over the last four quarter ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Dynatrace, Inc. (Exact name of Registrant as specified in its charter) Title of each class Trading Symbol(s) Name of each exchange on which registered Common stock, par value $0.001 per share DT New York Stock Exchange FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SEC ...

EXHIBIT 99.1 dynatrace Dynatrace Reports First Quarter Fiscal Year 2025 Financial Results Exceeds high end of guidance across all metrics Delivers ARR growth of 20% year-over-year on a constant currency basis Achieves GAAP Operating Margin of 11% and Non-GAAP Operating Margin of 29% WALTHAM, Mass., August 7, 2024 - Dynatrace (NYSE: DT), the leader in end-to-end observability and security, today announced financial results for the first quarter of fiscal 2025 ended June 30, 2024. "We are pleased with our fir ...

Core Viewpoint - Dynatrace has shown revenue growth but faces challenges with declining Net Retention Rate and weak FY25 guidance, leading to a cautious outlook on its stock performance [2][4][8] Financial Performance - For FY24, Dynatrace reported revenue of $1.43 billion, a 23% year-over-year increase, and non-GAAP operating income of $398 million, growing 36% year-over-year [3] - The company expects Q1 FY25 revenue of approximately $392 million, representing close to 20% year-over-year growth, with non-GAAP operating income projected at $106.5 million, a 15.7% increase [5] Strategic Focus - Dynatrace is concentrating on winning large customers, achieving 18 seven-figure deals in Q4 FY24, with an average new logo land size of $140,000 [3] - The average ARR per customer has approached $400,000, indicating deeper adoption of its solutions [3][5] Guidance and Expectations - Management has projected FY25 revenue growth of 15-16%, significantly lower than previous estimates, with a non-GAAP operating margin expectation of 28% [4][6] - The company anticipates generating $1.65 billion in revenue for FY25, with a growth rate of 15.5% [5][7] Key Metrics to Monitor - Investors should focus on the number of large customer wins and average deal size, as well as the stabilization of the Net Retention Rate, currently at 111% [5][6] - The decline in Net Retention Rate from 119% year-over-year and 113% sequentially is a concern for future growth [4][8] Market Context - The broader software industry is experiencing uncertainty, with 56% of software companies guiding below consensus in the current earnings season [5]